Export premiums for corn and soyabeans shipped from the US Gulf Coast were weaker on Tuesday on plentiful supplies and light demand, while wheat export premiums were mostly flat, traders said. Active farmer selling of corn and soyabeans in South America has weakened prices for shipments from Brazil and Argentina, making it difficult for US cargoes to compete, traders said.
Brazilian corn offers for shipment in the fourth quarter are up to 25 cents a bushel cheaper than US Gulf shipments, a trader said. Brazil's Conab increased its national corn production forecast to a record 96 million tonnes. Taiwan's MFIG bought 65,000 tonnes of Brazilian corn via a tender on Tuesday for shipment in late September or early October. Protests in Brazil's Para state have blocked the flow of grain to northern ports and could impact exports, industry groups said.
The US Department of Agriculture is due to update its world agricultural supply and demand forecasts on Wednesday in a monthly report. July corn vessels were offered around 26 cents over CBOT September futures. August vessels were offered around 27 cents over futures. FOB Gulf offers for soyabeans loaded in July were around 38 cents a bushel over CBOT August futures. August offers were 42 cents over futures. Soft red winter wheat offers for July and August loadings were 50 cents a bushel over CBOT September futures. Premiums for 12-percent protein hard red winter wheat cargoes loaded this month and next month were around 175 cents over September futures.